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Car Insurance

Top Reasons to Buy Car Insurance in India

It is a mandatory regulation by the government of to have car insurance in India if you are a car owner.

Moreover, it is very important to remain insured, safe and secure under an adequate car insurance policy. This helps you to save money and a lot of mental stress if you meet with any unforeseen circumstances like car accident or theft.

Here are top 3 reasons you must buy car insurance policy in India :

  • As per the Indian Motors Vehicle Act, third party insurance is mandatory on all the vehicles.

  • A comprehensive car insurance policy covers the damages incurred during an accident or car theft.

  • A third party car insurance helps to bear the expenses for damages to the other driver’s vehicle as well as provides money for any loss of life or limb along with hospitalisation and legal expenses.

It is very important to get your car insured at the earliest. If you already have coverage, get it renewed on time. Compare car insurance policies here at Cover360.

Top Benefits of Buying Car Insurance in India

Before you buy, you must know the main benefits of car insurance :

  • Car Insurance helps you to Fulfil Regulatory Requirements : As per the Indian Motors Vehicle Act, third party insurance is mandatory on all the vehicles. Along with that, buying comprehensive car insurance helps you to cover a lot of damages.
  • You Are Covered for Accidental Damages : If your car meets with an accident, you can simply claim car insurance and bear the expenses without shedding loads of money from your own pocket.
  • Third Party Cover Comes in Handy : If you cause damage to another person's car or the driver gets hurt, you can bear the damage or loss of limb by claiming your third party insurance, which covers hospitalisation and other legal expenses too.
  • Car Damages Due to Natural Calamities are Covered : If your car is damaged due to flood, fire or earthquake, your car insurance policy helps you to claim for the damages.
  • You Can Claim Against Theft and Vandalism : Comprehensive car insurance provides you cover against theft and vandalism (destruction caused to car by other people).
  • No Claim Bonus helps you to Buy Cheaper Car Insurance : If you do not make any claims on your car insurance policy for the entire year of the policy, you earn a no claim bonus and the next policies you buy come at a percentage lower price.
    Cover360 answers all your questions related to car insurance in India. Get in touch today!

Types of Car Insurance in India

All major insurance companies in India offer three primary types of car insurance policies.

Here is a quick list of all types of car insurance available with insurance providers :

  • Third Party or Liability Cover
    In case you meet with an accident and you are liable for damages to someone else's vehicle, this type of insurance becomes applicable. It is mandatory by law to have a third party insurance cover before you start driving your vehicle on roads. Liability insurance will cover the cost of repairs for any third party property damage caused by you. It also covers the medical bills for the driver of another vehicle, if he/she is injured.
  • Collision Cover
    When you meet with an accident, you must have a collision cover to bear the expenses. This is the cover that helps to bear all the damage and repair expenses. In case the cost of damages goes beyond the value of the car, you can get the entire sum amounting to the current value of the car from the insurance company, only if you have a collision cover. People with high-end, expensive cars must have a collision cover.
  • Comprehensive Cover
    This is all-inclusive car insurance, which covers all types of damages to the car. These damages could be in any situation, be it accident, theft, vandalism, or natural disaster. The comprehensive car insurance policy is a complete shield to your car. However, the government has not made it compulsory to buy a comprehensive policy, but it always helps to have one, if it suits your budget and if you are a regular driver. It comes on a higher premium than the other two policies.
  • The Add on Covers
    Your comprehensive car insurance policy can further be enhanced by adding on the riders like NCB (No Claim Bonus), accessories cover, invoice cover etc.

Stand-alone Car Insurance

What is a Stand-alone Policy?

Stand-alone insurance gives customers opportunities to insure against specific risks that are unique to them. With influence from 1st September 2019, Own Damage is no longer being combined with Third Party and is being sold as a standalone annual policy. If you purchased your car after 1st September 2018, you now have the choice of obtaining a Standalone Own Damage Car Insurance for the second year. With a 3-year Third-Party Insurance policy now being obligatory for all bike owners in India, the purchase and restoration of Own Damage cover are now individualistic and optional.

To purchase a standalone car insurance plan for own damage you must have a valid third-party liability policy which is legitimate for at least a year.

Is Stand-alone Policy mandatory?

Stand Alone own-damage car insurance is independent and optional.

What is covered in Stand-Alone Policy?

  • Theft of your car
  • Harm to your car due to natural calamities namely earthquake, landslide, floods etc. and man-made catastrophes such as riots, terrorism, vandalism etc.
  • A loss to your car due to an accident
  • A loss to your car due to fire or explosion

What is zero dep Stand-alone Policy?

In zero or nil depreciation cover, the policyholder receives the absolute claim on the value of parts such as plastic items, fibre, rubber, a windscreen that are reinstated in the event of loss due to accident.

Difference between Stand Alone and Own Damage

  • Third-party cover for three years : Earlier covers granted protection only from claims arising from the third party for three years. While the new policy serves the Supreme Court order at the minimum conceivable cost, your car will be left without any insurance cover in case of unforeseen damage or theft which the Stand-alone policy now encompasses individually.
  • Bundled covers (envelopes third party claims for three years and own damage for a year) : In case you want to cover for personal damage without third-party, then you can opt for the Standalone alternative.
  • Complete Umbrella cover under Third Party Own Damage (three years cover for both third-party claims and own damage) : One can take this cover if he or she wishes to pay in one single go. However, this is the most costly of all three options. Another downside of this cover is that it does not enable you to shift to another insurer in the next year while Stand-alone enables you to switch.

Here is a quick comparison table to help you understand your need for car insurance :

Inclusions and Exclusions of a Car Insurance Policy

Buying a car insurance policy is a very good decision. You are securing yourself against losses and damages if you are driving on the roads, and it is necessary. However, before you buy, you must know what is included and what is excluded in your car insurance policy.

We are listing here all the inclusions and exclusions of a car insurance policy for your ready reference :

Inclusions

  • Your car policy covers you against accidental and theft damages.
  • The mandatory third-party cover helps you to bear the losses faced by the other vehicle and the driver if you are involved in an accident caused by you.
  • A comprehensive car policy is optional but it offers accidental cover, liability cover, damages cover, theft and vandalism, third-party cover, collision cover and invoice cover.

Exclusions

  • The occurrence of loss or damage when the policy has expired or not active and you forgot to renew it.
  • Normal wear and tear of the car and its parts
  • Depreciation on your car is not covered
  • If you or any other person driving the car does not have a valid driving licence, your policy will not work.
  • Any electrical or mechanical breakdowns are not covered
  • If you were driving under the influence of alcohol or drugs and meet with an accident, the car insurance policy will not cover the damages.
  • Losses or damages that happen to the car because of war/mutiny /nuclear reactions are not covered.
  • Damages incurred due to engine failure or oil leakage are not covered.
  • If you have a policy in India and you are driving outside the country, your damages will not be covered.
  • If the car is used for any other purpose other than its intended use and meets a mishap, the insurance policy does not take the responsibility.

At Cover 360, we are committed to sharing all the possible information related to car insurance policies and insurance companies offering them. If you have any queries, you can always get in touch with us.

Factors that Affect Premium

Car insurance policy is an important cover for you if you are driving on the roads. There is a certain premium, which you have to pay to buy a mandatory car insurance plan. If you wish to cover more, the premium cost rises.

We are discussing a few factors that affect the premium of car insurance policy :

  • Model and Variant of the Car : Insurance policy for cars belonging to high-end segment like Bentley, Audi, BMW etc comes at a much higher premium than the cars in the affordable range.
  • No Claim Bonus (NCB) : If you do not make any insurance claims on your car throughout the applicable year of insurance policy, you get the no claim bonus (NCB) on the next insurance you buy. NCB helps to bring down the premium by 10% to 50%, depending upon the number of years you did not file a claim. NCB is transferable to any other policy you buy from any other car insurance company.
  • Area Where You Drive Your Car : If you are driving your car in the metropolitan cities like New Delhi, Mumbai, Bangalore, Hyderabad etc. the cost of car insurance will be higher. There is a lower premium on the car policy for the cars driven in the areas that come under zone D.
  • Fuel Type Used in Your Car : Car insurance policy for petrol-driven cars come at a lower premium, whereas the insurance for CNG driven cars comes at a higher premium.
  • Anti-theft Safety Discount : This is important. If your car is fitted with an ARAI (Automotive Research Association of India) approved anti-theft device, you get an additional discount of 2.5% on the car insurance premium. However, you get this discount only if you can produce the approval card provided by ARAI.
    At Cover 360, you can check all the factors and reach the best premium value as per your needs, in just a few clicks!

Important Things to Consider Before Selecting Car Insurance

Buying a car insurance policy is a matter of serious consideration. Insurance companies consider many points before assigning you a car insurance plan. Therefore, it is important for you too to consider important things before selecting a suitable policy.

Here are a few points you need to keep in mind while buying a car policy :

  • Choose between a third-party cover, collision cover and a comprehensive policy only after analyzing your needs completely.
  • You must consider that a comprehensive car policy is a full package of features like liability cover and accident cover. It can also be enhanced further by choosing add-ons like invoice cover, consumables cover and engine cover etc.
  • Make sure to ask for no claim bonus from the insurance company if you did not make any claims in the previous year of the policy.

You can read all the relevant information related to car insurance policies at Cover 360. Be sure that you are making a well-informed decision to buy the most suitable insurance policy for your car.

Add-on Covers You Can Buy With Your Car Insurance Policy

What are add-on covers?

You can customise your car insurance policy by adding various cover options to it. You can choose these options as per your need and driving patterns. These add-on covers come at an additional premium.

The choices of car insurance add-ons are :

  • Zero Depreciation Cover
    With this cover, you can receive the full cost of replaced car parts, when they get damaged in an accident. In a basic policy, the depreciated value of the car parts is deducted before settling the claim. If you have this cover, there will be no deduction on depreciation for the said parts. This cover helps you get the full cost.
  • Engine Protection Cover
    If your engine breakdowns or gets damaged in an accident, you can get the repair cost from your car insurance company if you have this add-on cover. This cover is available for the cars that are up to 3 years old.
  • Return to Invoice Cover
    If your car gets completely damaged in an accident or gets stolen, you get the market value of the car along with the registration charges and road tax paid till the time of damage or theft.
  • NCB Protection Cover
    If you do not make any car insurance claims throughout the tenure of the policy, you are entitled to no claim bonus. However, if you made a claim and still want the no claim bonus, you can add this cover to your policy. The NCB can get accumulated and go up to a maximum of 50%, which means you get a 50% discount on premium for your next policy.
  • Roadside Assistance Cover
    In case of any road mishaps, your car insurance company can provide with roadside assistance such as towing, flat tyre change, fuel providing, emergency repairing etc. if you have this coverage added to your car insurance policy.
  • Accident Cover for Co-passengers
    For the additional people travelling in your car, this add-on acts like a personal accident cover. With this cover added to your car insurance, you can get a lump sum compensation for injuries, disabilities or even death of the co-passengers travelling in your car. This is a very important add-on if you travel frequently with your family.
  • Substitute Cover
    In case of complete damage or theft of your car, you may need to hire a substitute car for your daily travelling. This add-on cover helps to cover the cost of hiring the substitute car.
  • Key Replacement Compensation Cover
    If you misplace your car keys or they are stolen, this add-on cover helps to cover the cost of purchasing and fitting new locks or replacement of keys. You will require the copy of FIR filed for the stolen keys, to claim this amount.
  • Consumables Cover
    In a regular car insurance policy, the cost of consumables like nut bolts, coolant, engine oil, brake oil, bearings etc. is not covered. With this add-on, you can claim the money spent on consumables, in case of an accidental repair.
    Cover 360 offers poora information on car insurance policies and add-n covers. If you have any queries related to your car insurance or renewal, please contact us today.

Benefits of Comparing Car Insurance

Buying the best-suited car insurance policy is not very difficult if you make the right choice by comparing all the available plans at Cover 360. We have a ready list of all the car insurance plans available in India that offer various benefits, add-ons and distinct features. All you have to do is compare carefully and choose.

Here are the major benefits of comparing car insurance policies online :

  • You can make the best choice of insurance provider offering the best coverage benefits.
  • You can choose the maximum add-ons in the most reasonable premium value.
  • You can save on the premium by comparing various plans and buying with maximum features in the lowest premium.
  • You can look for the best claim settlement ratio and choose the car insurance policy based on that.
  • You can check the grievance settlement ratio of various providers and choose the one with the highest ratio.
  • You can compare the list of network garages associated with car insurance providers in India and choose the one with nearest garages to you.
  • You can compare the discounts offered by various insurance providers and choose what suits you the most.
  • You can create the best car insurance experience for yourself if you carefully compare car insurance policies online and make sure you have the best one suited to all your needs.

Cover360 is your best insurance compare platform that offers all the information related to car insurance policies available in India. If you have any queries, please call us today!

Tips on Buying Car Insurance

If you are looking to buy the best car insurance policy for your vehicle, you need to make a thorough research at Cover 360, compare car insurance policies and reach the best-suited one.

We are giving you a few important tips on how to buy car insurance policy, so that you make the right decision and be carefree for the entire year.

  • You may want to get your car inspected by a qualified and authorised car insurance professional before buying the right car insurance policy. The brand, make, model, and fuel type are some of the factors that will affect the premium on car insurance policy.
  • Compare various car insurance plans offered by different insurance companies, check the features with respect to premium amount and choose the one that meets your needs closely.
  • If you have not made any claim on your car policy in the previous year, do not forget to ask for no claim bonus. You will get your insurance policy on a much lower premium. This happens only if you do not put any claims for small and petty repairs of the car. If you do not file for claims consecutively for 3-4 years, the no claim bonus makes the premium up to 40-50% lesser in the fifth year!
  • Make sure you choose a reasonable deductible value (the amount that you are willing to pay out of the total cost of damages) to lower the premium rate for your car insurance. Choosing a higher deductible helps to lower down the premium of the car policy.
  • Look for a comprehensive car insurance policy to get the most features and compensations in all possible situations.
  • Check for the cashless car policy options with various insurance providers.
  • Check the claim settlement ratio of various insurance providers and buy from the one with highest rate of claim settlement.
  • Check the list of network garages on the insurance providers’ list to make sure you have some well-equipped facilities nearest to you.

Mistakes to avoid while buying car insurance policy :

  • Do not put the false or reduced IDV (Insured Declared Value) of your car. It may reduce the premium initially, but you will suffer losses if your car gets severely damaged or stolen. You will not get appropriate compensation from the insurance company.
  • Always renew your policy in time, before the previous one expires to avoid the hassle on the road.

Cover 360 is your one stop insurance solutions provider and is committed to bring the accurate knowledge related to all insurance subjects. So not hesitate to call us if you have any queries.

Claim Process for Car Insurance

Cover 360 is committed to bringing you all the important information related to buying and claiming car insurance policy. On this page, you will find all the steps on how to file a claim for your car insurance, in case you met with an accident or if your car was stolen.

How to claim car insurance if you meet with an accident :

  • It is important to keep all the car insurance documents and the policy number that you received from the insurance provider. Without these, you will not be able to file a claim.
  • Immediately after you meet with an accident (irrespective it was your mistake or other’s), take pictures of the damage and keep them safe with you. You may need to produce these to the insurance provider.
  • If there is a need, in case the damage is huge and it is not your fault, file an FIR. The insurance company will ask for an FIR copy to process your claim. The police will inspect the vehicle and take note of the involved people and vehicles.
  • Filing an FIR is very important for the claim process against a third-party liability claim. Without it, you will not be able to make a claim.
  • Call the insurance company on their registered number or the customer care number provided to you, and report the incident to file the claim. You will be given the claim filing number, which you need to save.
  • You will be given the list of the authorised workshops of your car manufacturer associated with the insurance company. You can take your car to that garage for repair and produce the claim filing number.
  • Present all the correct and validated information to the surveyor of the insurance company present at the workshop. Do not hide any information or mislead the official for any reasons. It will work in your favour.
  • Your insurance company will require a "proof of damage" form as well as records relating to your claim (such as medical bills and a copy of the FIR). Medical bills may or may not be covered in your policy depending upon the type of policy and add-ons.
  • The insurance company will send the surveyor to inspect the vehicle at the garage. This will include inspection and verification of the damage to the car, examining the evidence of any injury claims, and initial payment.
  • Finally, the payment for the damages against the insurance cover will be made to you or the workshop, based on all the actualities, facts and validated information.

If your car is stolen :

  • File an FIR immediately with the nearest police station in the area you suspect the car is stolen from.
  • Call the insurance company and inform about the theft with location, time and your car insurance policy number.
  • Call the office of RTO (Road Transport Authority) to inform the car theft.
  • Fill the claim form offered by the insurance company, providing the information such as policy number, vehicle registration number( RC), date time and description of the incident where the theft took place.
  • Submit the following to your insurance provider :
    • Duly signed claim form
    • Copy of the FIR given to you by police
    • Copy of the policy documents
    • Copy of your driving license
    • Original keys of the car
    • Copy of the letter addressed to the RTO intimating theft
    • Copy of your car’s RC
    • RTO transfer papers duly signed along with the necessary forms (Form 28, 29, 30 And 35)

Once the local police station submits the final “no-trace report”, which means the vehicle could not be found, the insurance company will approve the claim. Once the claim is approved, you will have to transfer the RC of the stolen car in favour of the insurance company and hand over all sets of keys. You will also issue a letter of subrogation to the insurance company.

It is very important to provide all the right information along with all the required documents so that the claim for car insurance policy is processed smoothly.

Importance of Renewing the Car Insurance

Car insurance renewal is very important. If you do not renew your car insurance policy in time, you may land in unwanted circumstances with your car and you will not have a way out. Car insurance policy ensures the safety of your car and keeps many expenses in check.

Apart from that, the other important reasons to renew your car insurance policy within the grace period are :

  • It is mandatory to have a third party liability cover to drive on the roads. It is a legal offence to drive on the roads without the basic cover stipulated by the government of India. Hence, you must renew your car policy in time, as it gets expired.
  • If you do not renew your car policy and meet with an accident or your car is stolen, the car insurance company will not accept any claims in that period.
  • If your car policy is not renewed in time, you may lose the benefits that you received on your earlier policy like NCB (no claim bonus).
  • If you keep renewing your car insurance policy in time with the same insurer, you get bonus benefits or loyalty points from the car insurance company.

How and where can you get your car policy renewal easily?

You can get your car insurance policy renewed at Cover 360 by comparing various policies listed on the website. It is also advised to go for a new insurance provider based on the added features or benefits that they are offering. You can also call your existing insurance provider or check their website to follow the renewal procedure.

Top Companies Offering Car Insurance in India

When choosing the best car insurance plan for yourself, you must compare all the existing schemes and offers made by the top insurance companies in India. When you know all the available insurance products in the market, you can make a choice based on your individual needs and requirements.

We are listing the top insurance companies offering car insurance in India to help you make a well-informed choice.

  • ICICI Lombard General Insurance Company Limited
  • Bajaj Allianz General Insurance Company Limited
  • Tata AIG General Insurance Company Limited
  • HDFC ERGO General Insurance Company Limited
  • The New India Assurance Co. Ltd.
  • Oriental Insurance Co. Ltd.
  • Bharti AXA General Insurance Company Ltd.
  • United India Insurance Co. Ltd.
  • Reliance General Insurance Company
  • Universal Sompo General Insurance Company Limited

The ranking is not in any particular order.

Top Trending Car Insurance Plans

Here are the top trending car insurance plans available in India with their features and highlights. Please note, the plans are in no particular order. You can choose anyone that suits your needs the most.

Importance of Having Car Insurance

A car insurance policy is an important instrument to serve the legal requirements posed by the government and to safeguard oneself and the vehicle from all kinds of unwanted circumstances. We at Cover 360 are committed to bringing all the imperative information related to car insurance policies in India to help you make informed decisions.

Here, we are listing a few factors that tell us about the importance of having car insurance policy :

  • A car insurance policy helps you to stay in compliance with government regulations and save yourself from unwanted penalties.
  • It protects you from huge expenses that you may have to bear in case of accidents and car thefts.
  • Car insurance coverage like collision cover, liability cover, bodily injury cover and property damage cover saves you from mental distress and cost when you meet with an accident where another party is involved.
  • If saves a lot of time and hassle you may have to go through during an accident. The insurance coverage ensures that everyone gets appropriate compensation without any time-loss and cumbersome processes.
  • Car insurance often helps to cover the medical expenses that health insurance does not cover. For example, a dental injury caused due to accident is covered in a car insurance policy. Please note that such coverage comes with the add-on cover on car policy and helps to supplement your health insurance.
  • A car insurance policy buys you a lot of peace of mind and you can drive on the roads without any anxiety and perfect protection in your pocket.

It is always beneficial to have a car insurance policy in your pocket than to face stress and difficulties while driving on the roads. Compare car policies online here at Cover 360 and make the right choice, today!

Online Vs Offline Car Insurance

Buying the most suitable car insurance policy is definitely a very important task. You must make a wise decision based on your car's model, make and utility. Also, car insurance helps you to feel secure while driving on the roads. While some people like to make the purchase offline through insurance agents, some feel it is better to buy car insurance online and get greater benefits. Which is a better procedure of buying a car insurance policy?

Let us find out the differences between buying car insurance policy online and offline :

Buying the Car Insurance :

  • Offline : If you plan to buy the car insurance offline from the company office or through an insurance agent, you may have to travel to the office or wait for the agent to reach you or call you. This can happen only in working hours. Besides, you may not get all the required information related to other companies' insurance plans.
  • Online : Buying a car insurance plan online is the easiest to do as you can do it anytime at your own comfort. You can sit in your home, browse through various available plans and compare the features, premium costs etc. This helps you to buy the car insurance after putting in thorough research. You get all the information in one place.

Premium Cost :

  • Offline : You may have to pay a higher premium when you buy a car policy offline. This is because the insurance agents add their commission to the cost of the policy.
  • Online : With a lot of insurance companies selling their policies online, there is a huge competition, and to keep ahead of the competition, the insurance companies offer lower premiums online to attract customers. Moreover, there is no commission involved.

Claim Settlement :

  • Offline :When you buy a car insurance policy offline, you have to file the claim physically with all the paperwork in place. You may have to put in hours to coordinate with your insurance agent.
  • Online : Buying a car insurance policy online comes with an advantage of filing for the claim online where you can easily upload all the needed documents on the website and ask for the claim amount.

Thus, it is always beneficial to buy car insurance online. You can make a better decision on comparatively lower costs.

How Cover360 Helps

Cover360 – Poora Car Insurance Services Until Claim!

This is a comprehensive car insurance services platform that offers all the information, compare facility and easy buying options for all the available car insurance policies in India.

We make buying car insurance EASY!

We make buying car insurance AFFORDABLE!

We are a car insurance comparison platform that is TRUSTWORTHY!

Here is how Cover 360 helps you with buying the best car insurance policy :

  • You can find customized quotes that match your requirements.
  • Our compare algorithms are fast and trustworthy.
  • You can compare car insurance online across a list of insurance providers while applying various parameters and filters.
  • We help you save a lot on your car insurance policy.
  • We offer expert advice on car various car insurance products and insurance providers in India.
  • We help you go through the process of buying the car insurance policy without any hassle.
  • We help you avail the car insurance policy in your mailbox without having to run here and there.
  • With our quick, easy and reliable payment methods, you save time and effort.
  • Our processes are simple and trouble-free.
  • The forms on our website are short and simple and gather all the possible knowledge.
  • We offer document pickup and delivery facility.
  • We offer live policy tracking to keep a record of activities on your car insurance policy.
  • We help you file your car insurance claim and get the no-hassle settlement.

Cover 360 is your one-stop solution to all the car insurance needs. We answer all the tricky questions that you may have in your mind. Call us today or reach out on mail.